What is Cindy Eckert's favorite business and why?

Cindy's favorite business is Wegmans, a grocery store from her hometown Rochester. She admires Wegmans for its incredible employee loyalty and the genuine appreciation it shows its employees through incentives and benefits. This creates a strong sense of pride and longevity among their staff. (Timestamp: 149 seconds)

What qualities does Cindy Eckert look for when hiring for her companies?

Cindy looks for individuals who are adaptable, have a love for business, and make deliberate choices. Her six core values include choosing to be an owner, bold, quirky, learning, family-oriented, and appreciative. She often uses questions like 'how did you make your very first money?' to assess an entrepreneurial mindset. (Timestamp: 1122 seconds)

How did Cindy Eckert start a pharmaceutical company without a scientific background?

Cindy, with a long career in the pharma industry, compensated for her lack of a scientific background by surrounding herself with an extraordinary scientific team. She brought a market-focused lens to their scientific enamor, creating a 'magical pairing' that ensured their innovations were practical and marketable. (Timestamp: 655 seconds)

What was the significance of Addyi, often called 'Female Viagra'?

Addyi was the first FDA-approved drug for hypoactive sexual desire disorder (HSDD) in women. It works by restoring the balance of key brain chemicals (dopamine and serotonin) to enhance interest in sex. Its development challenged societal biases that often attributed women's sexual dysfunction to psychological factors rather than biology. (Timestamp: 2355 seconds)

What advice does Cindy Eckert offer for selling a company?

Cindy advises entrepreneurs to be prepared for the process to be both exhilarating and excruciating. She stresses the importance of believing the sale aligns with the company's mission and having safeguards in the deal, such as defined 'performance obligations' rather than vague 'best efforts' clauses, to ensure the acquirer nurtures the company. (Timestamp: 3353 seconds)

How did Cindy Eckert reacquire her drug (Addyi) after selling her company?

After selling Sprout Pharmaceuticals for $1 billion to Valeant, the acquirer faced a corporate crisis and dismantled Cindy's organization, failing to meet performance obligations. Cindy initiated a lawsuit, which ultimately led to a discussion where Valeant, recognizing the lack of win-win, agreed to return the drug to her, along with a $25 million loan. (Timestamp: 4461 seconds)

Why does Cindy Eckert believe women need 'power' more than 'voice'?

Cindy argues that while women are often told they need a voice, what truly effects change is power, which often comes with money. With financial power, women can sit on the 'other side of the table,' making decisions and investing in initiatives that support other women and address issues they care about, combating the low percentage of VC funding for female founders. (Timestamp: 5618 seconds)

What is 'The Pink Ceiling'?

The Pink Ceiling is Cindy Eckert's investment firm and mentorship platform that makes early bets on disruptive health tech companies 'by or for women.' The initiative aims to provide financial support and guidance to female founders, fostering innovation and social conversation around women's needs. (Timestamp: 5411 seconds)

How does Cindy Eckert suggest embracing underestimation?

Cindy views underestimation as an opportunity to surprise people with competence. She advises reframing frustrations, setbacks, and 'kicks in the teeth' as chances to go forward and prove capabilities, especially for women who are often 'unexpected in the room.' (Timestamp: 6115 seconds)

What is Cindy Eckert's advice on women embracing their femininity in business?

Cindy believes women should unapologetically own their femininity, arguing that the advice to 'dial back' their womanliness or dress neutrally is the 'worst advice.' She champions expressing personal style, like wearing pink, as a way to challenge gender stereotypes and assert unique value. (Timestamp: 6238 seconds)

What is Cindy Eckert's overarching message to founders and the world?

Cindy's message is 'F**k the unicorn, be the workhorse.' She advocates for focusing on execution, hard work, and fundamental business practices rather than grandiose claims or chasing fleeting trends. She believes in showing rather than telling, emphasizing impact over perceived genius. (Timestamp: 6912 seconds)

Key Moments

Cindy Eckert (formerly Whitehead) Interview | The Tim Ferriss Show

Tim Ferriss

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Key Moments

TL;DR

Entrepreneur Cindy Eckert shares insights on building businesses, leadership, and empowering women.

Key Insights

Silence can be a powerful tool in communication and negotiation.

Cultivating employee loyalty through appreciation, incentives, and development is key to business success.

Boldness and perseverance are crucial for overcoming challenges, including regulatory hurdles.

Women need power, not just a voice, to drive change and achieve equal opportunities in business.

Embracing one's unique identity, including traditionally 'feminine' traits, can be a source of strength and success.

The "workhorse" mentality, focusing on execution over grand declarations, is vital for entrepreneurs.

THE POWER OF SILENCE AND LOYALTY

Cindy Eckert begins by recounting a powerful experience at the JPMorgan Healthcare conference where she used silence to command attention and establish the biological basis of women's sexual desire. She also highlights Wegmans as a model for instilling employee loyalty through genuine appreciation, strong incentives, and development, contrasting it with companies that might focus solely on the bottom line. This appreciation fosters pride and dedication, creating a cult-like enthusiasm not unlike that seen at Home Depot, built on positive reinforcement and storytelling.

BUILDING A CAREER AND A COMPANY

Eckert details her unconventional path, starting with a childhood marked by frequent moves that honed her observational skills. Her early fascination with business led her to pursue a career at Merck, where she fell in love with the science and innovation of pharmaceuticals. Disillusioned with larger corporate structures, she transitioned to smaller companies, eventually founding her own. She emphasizes the importance of industry experience and surrounding oneself with a strong scientific team, bringing a market-driven lens to scientific innovation.

INNOVATION IN SEXUAL HEALTH AND THE FIGHT FOR ACCESS

Her entrepreneurial ventures have focused on sexual health. Her first company developed a long-acting testosterone for men called Slate, named for a 'clean slate' approach. She then took on the challenge of bringing Addyi (flibanserin) to market, the first FDA-approved drug for hypoactive sexual desire disorder (HSDD) in women. This journey involved a unique deal structure and a significant battle with the FDA, driven by a desire to provide women with access to treatment for a condition often dismissed.

LEADERSHIP AND CULTURAL FIT: BUILDING TEAMS

Eckert emphasizes the critical importance of cultural fit in hiring, valuing passion for business and adaptability over resumes. She looks for individuals who choose to be owners, bold, quirky, continuous learners, appreciative, and family-oriented within the team. She has a unique approach to fostering this culture, including a system of assigning nicknames, which creates a sense of belonging and allows for constructive irreverence, ultimately strengthening the team's bond against external challenges.

NAVIGATING SALES AND DEALS WITH BOLDNESS

In sales, Eckert advocates for empowering salespeople to 'fire' unproductive leads and focus energy on those with genuine interest, a departure from traditional pharmaceutical sales tactics. She learned valuable lessons about deal-making from her entrepreneurial journey, particularly the importance of defining performance obligations clearly to avoid vague 'best efforts' clauses, as experienced after selling her first company. This emphasis on rigor and preparation is crucial for commanding value and protecting one's interests.

THE 'PINK CEILING' AND EMPOWERING WOMEN

Eckert now leads The Pink Ceiling, an investment firm and consulting enterprise focused on launching and building women-led or women-focused businesses. She advocates for women to seek not just a voice, but power, which she equates with money. Her 'Pinkubator' program supports early-stage companies, particularly in health tech, that are disruptive and can catalyze social conversations. She believes in empowering women to achieve significant financial success, creating a ripple effect of support for future generations of female entrepreneurs.

EMBRACING UNDERESTIMATION AND AUTHENTICITY

Eckert views being underestimated as an opportunity to surprise people with competence. She advises founders to focus on execution ('be the workhorse') rather than grand pronouncements. She encourages women to embrace their identity and femininity, rejecting advice to 'dial back' their womanhood. Wearing pink unapologetically, she runs The Pink Ceiling with a mission to empower women, championing boldness, authenticity, and the pursuit of financial power as essential for driving meaningful change.

FINANCIAL ADVICE AND THE VALUE OF WORK

Eckert shares crucial advice for entrepreneurs considering selling a company, emphasizing that it can be both exhilarating and excruciating. She stresses the importance of ensuring the sale aligns with the company's mission and that safeguards are in place to protect the product and team. She also advises against entering negotiations without alternatives and highlights the importance of transaction attorneys. For those building companies, she champions the 'workhorse' mentality over grandiose startup claims, emphasizing earned confidence through execution and learning.

Mentioned in This Episode

●Products

●Companies

●Organizations

●Books

●Drugs & Medications

●People Referenced

Common Questions

At the JPMorgan Healthcare Conference, Cindy Eckert faced giggling when discussing women and sex. She silenced the room by displaying brain scan studies showing the biological basis of women's lack of sexual desire, allowing the silence to make the audience uncomfortable and focus on the science. She realized the power of silence in drawing attention to uncomfortable truths. (Timestamp: 41 seconds)

Topics

Startup Success Business & Entrepreneurship Mindset & Self-Improvement Women's Health Advocacy Medicine & Clinical Negotiation Strategies Company Culture Pharma Innovation FDA Approval Process Venture Capital For Women Personal Branding

Mentioned in this video

People

Cal Fussman

A master interviewer who advised Tim Ferriss on the power of silence in interviews.

Frank Blake

Former CEO of Home Depot, who developed an 'orange apron cult' due to the dedication of his employees, which he achieved through positive reinforcement and sharing customer service stories.

Seth Godin

Author of 'Purple Cow', a book recommended by Cindy Eckert for entrepreneurs.

Noah Kagan

An Austinite and friend of Tim Ferriss who recommends the 'coffee challenge' exercise to get comfortable with discomfort.

Irwin Goldstein

A key researcher in sexual medicine who was the principal investigator on the Viagra trials and later championed the development of Addyi for women.

Amanda Palmer

A musician and artist discussed by Tim Ferriss, who co-opted the derogatory nickname 'Amanda F***ing Palmer' as a form of empowerment, embodying resilience against criticism.

Patrick Lencioni

Author of 'The Five Temptations of a CEO,' which Cindy Eckert rereads.

Drugs & Medications

psilocybin

A psychedelic substance that Tim Ferriss is helping to get through trials, alongside MDMA, highlighting his interest in novel therapies and regulatory pathways.

Viagra

A drug originally tested for blood pressure that was found to have a pro-sexual side effect in men, leading to its development for erectile dysfunction. Cindy draws parallels to Addyi's discovery.

MDMA

A substance with 'breakthrough therapy designation' for PTSD, currently undergoing trials with Astonishing results, catching Tim Ferriss's interest in regulatory processes.

Addyi

The drug developed by Cindy Eckert's second company, Sprout Pharmaceuticals, to treat hypoactive sexual desire disorder (HSDD) in women, dubbed 'Female Viagra' by the media. Its approval involved disputing the FDA's initial rejection.

Companies

Wegmans

A grocery store from Rochester, New York, admired by Cindy for its incredible employee loyalty, longevity, and appreciation for its workforce.

Slate Pharmaceuticals

Cindy Eckert's first company, founded with the purpose of doing things 'their way' in the pharmaceutical industry. It focused on long-acting testosterone for men.

Home Depot

A company whose former CEO, Frank Blake, cultivated strong employee dedication through positive reinforcement.

Merck

A pharmaceutical company where Cindy Eckert started her career, drawn by its reputation as 'Fortune's most admired company' and its focus on science and innovation.

Sprout Pharmaceuticals

Cindy Eckert's second company, which developed Addyi, the first FDA-approved drug for female sexual desire. It was sold for $1 billion upfront, then reacquired due to a breach of contract by its acquirer, Valeant.

Zappos

A company Cindy Eckert's leadership team visited to learn about excellent customer service, inspiring them to implement similar practices in their pharma company.

Valeant

The acquisitive company that bought Sprout Pharmaceuticals for $1 billion, but whose subsequent financial troubles, drug pricing accusations, and non-disclosure of pharmacy relationships led to Cindy reacquiring Addyi.

Beecher's Handmade Cheese

A cheese shop from which Cindy's team learned about inviting customers into the experience.

Pitchbook

A financial data and software company that tracks investment activity, mentioned in connection with Raleigh's high number of 'exits' and company multiples.

Organizations

Sexual Medicine Society of North America

A society focused on understanding sexual medicine, a relatively new field that Cindy Eckert is a 'card-carrying member' of.

FDA

The U.S. Food and Drug Administration, which Cindy Eckert successfully disputed to get Addyi approved for women, advocating for patient choice over paternalistic protection.

The Pink Ceiling

Cindy Eckert's investment firm focusing on early-stage, disruptive health tech companies 'by or for women,' also serving as a mentorship platform.

McKinsey

A consulting firm whose personnel were prevalent at Valeant, which Cindy noted as having 'fewer traditional operators'.

Books

Getting Past No

A book on negotiation, preferred by Tim Ferriss over 'Getting to Yes' for its realism.

Purple Cow

A book by Seth Godin that Cindy insists every entrepreneur read, focusing on how to stand out and be remarkable in a crowded market.

The Five Temptations of a CEO

A book by Patrick Lencioni that Cindy rereads, which helps her prioritize and decide what to let go of.

Fortune

A business magazine mentioned by Tim Ferriss regarding Cindy's quote about 'the workhorse vs. the unicorn' for early-stage founders.

Getting to Yes

A well-known book on negotiation that Tim Ferriss mentions, though he prefers 'Getting Past No' as more realistic.

Products

Testosterone pellet

A long-acting testosterone product administered in-office, placed under the skin to release testosterone over four to six months. Its efficacy and delivery system were preferred over gels.

Locations

Pike Place Market

A market in Seattle where Cindy and her team learned from various businesses about inviting people into the customer experience.

Raleigh, North Carolina

The city where Cindy Eckert has built all her companies, noted as being a strong startup scene with great talent and a high rate of successful company exits.

Fiji Islands

Where Cindy Eckert grew up as a child, exposed to a culture of superstition that ultimately made her less superstitious later in life.

Media

Stuart Smalley

A Saturday Night Live character known for his affirmations, used by Tim Ferriss as an example of superficial self-confidence.